Which of the following financial reforms were suggested by the Squam Lake Group?
A) allow banks to choose the amount of risk
B) allow a bank to choose its own regulator
C) enhance capital requirements
D) allow bonuses to be paid out for only short-term investments
E) increase leverage ratios

Question

Quizplus · Accepted Answer

The Squam Lake Group suggested enhancing capital requirements to promote stability in the financial system. They did not suggest allowing banks to choose their own level of risk or regulator, nor did they propose allowing bonuses for short-term investments or increasing leverage ratios.

Which of the Following Financial Reforms Were Suggested by the Squam